Consider the following statements:

As per the Industrial Employment (Standing Orders) Central (Amendment) Rules, 2018

1. If rules for fixed-term employment are implemented, it becomes easier for the firms/companies to lay off workers.

2. No notice of termination of employment shall be necessary in the case of a temporary workman.

Which of the statements given above is/are correct?

This question was previously asked in
Official UPSC Civil Services Exam 2019 Prelims Part A
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  1. 1 only
  2. 2 only
  3. Both 1 and 2
  4. Neither 1 nor 2

Answer (Detailed Solution Below)

Option 3 : Both 1 and 2
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Detailed Solution

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The correct answer is Both 1 and 2.

  • The government has notified fixed-term employment for all sectors through an amendment to the Industrial Employment (Standing Orders) Central Rules, 1946.
  • Fixed-term employment for all sectors will make it easier for companies to hire-and-fire workers along with reducing the role of middlemen. Hence, Statement 1 is Correct.
  • As per the Industrial Employment (Standing Orders) Central (Amendment) Rules, 2018, a “fixed-term employment workman is a workman who has been engaged on the basis of a written contract of employment for a fixed period”.
  • No notice of termination of employment shall be necessary in the case of a temporary workman whether monthly rated, weekly rated or piece rated and probationers or badli workmen. Hence, Statement 2 is Correct.
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